Search
 

Declining Food Prices' Impact on CRE

SAN DIEGO—Food-price decline means yet another squeeze on profit margins for grocers already facing price wars from increased competition and pressure for lower prices from discount grocers and new entrants, CBRE's Anthony Buono tells GlobeSt.com EXCLUSIVELY.

By Carrie Rossenfeld | Updated on October 19, 2016
Anthony Buono Buono: “It’s really more about how they might reprogram inside the store to get more margin or efficiency.”

SAN DIEGO—Food-price decline means yet another squeeze on profit margins for grocers already facing price wars from increased competition and pressure for lower prices from discount grocers and new entrants, Anthony Buono, chairman of CBRE‘s global retail executive committee, tells GlobeSt.com. In a recent report from the firm, Buono said, “A steady decline in food prices has delivered a mixed bag for the economy, providing consumers with more disposable income but crimping the already-narrow profit margins of grocery operators. If these low prices persist, grocers will see margin pressure, but may adapt by focusing more on higher-margin prepared foods and refining their supply chains.”

We spoke exclusively with Buono about what a decline in food prices means for food-related retail space.

GlobeSt.com: What does a decline in food prices mean for food-related retail space? 

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

NOT FOR REPRINT

© 2025 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2025 ALM Global, LLC. All Rights Reserved.